Question

Prat Corp. started the 2018 accounting period with $30,000 of assets (all cash), $12,000 of liabilities,...

Prat Corp. started the 2018 accounting period with $30,000 of assets (all cash), $12,000 of liabilities, and $15,000 of common stock. During the year, the Retained Earnings account increased by $16,050. The bookkeeper reported that Prat paid cash expenses of $31,000 and paid a $3,000 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services. Prat also paid $4,500 cash to reduce the liability owed to the bank, and the business acquired $6,600 of additional cash from the issue of common stock. Determine the percentage of total assets that were provided by creditors, investors, and earnings. (Round your answers to 2 decimal places.)

0 0
Add a comment Improve this question Transcribed image text
Answer #1

30,000.00 Beginning Cash Less: Liabilities Common Stock Beginning Retained Earnings 3,000.00 12,000.00 $15,000.00

$ 16,050.00 Retained Earnings Increased Add: Cash Exp Div Paid Revenue Earned $31,000.00 $3,000.00 50,050.00

Assets (All Cash) = Liabilities (Creditors) + Common Stock (Investors) + Retain Earnings

Cash Liabilities + Common Stock + Retain Earnings 30,000.00 $ (31,000.00) (3,000.00) (4,500.00$ 6,600.00 50,050.00 48,150.00 12,000.00 $ 15,000.00$ Beg. Bal Cash Exp Div. Paid Liability Paid Issue of Common Stock $ Revenue Earned Closing Balance Percentage of Total Asset 3,000.00 (31,000.00) (3,000.00) (4,500.00) 6,600.00 50,050.00 19,050.00 39.56% 7,500.00 $ 21,600.00$ 100.00% 15.58% 44.86% (48150/48150)x100 (7500/48150)x100 (21600/48150)x100 (19050/48150)x100

Add a comment
Know the answer?
Add Answer to:
Prat Corp. started the 2018 accounting period with $30,000 of assets (all cash), $12,000 of liabilities,...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Prat Corp. started the 2018 accounting period with $34,000 of assets (all cash), $14,000 of liabilities,...

    Prat Corp. started the 2018 accounting period with $34,000 of assets (all cash), $14,000 of liabilities, and $19,000 of common stock. During the year, the Retained Earnings account increased by $18,050. The bookkeeper reported that Prat paid cash expenses of $33,000 and paid a $3,400 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services. Prat also paid $8,500 cash to reduce the liability owed to the...

  • Prat Corp. started the 2018 accounting period with $32,000 of assets (all cash), $13,000 of liabilities,...

    Prat Corp. started the 2018 accounting period with $32,000 of assets (all cash), $13,000 of liabilities, and $17,000 of common stock. During the year, the Retained Earnings account increased by $17,050. The bookkeeper reported that Prat paid cash expenses of $32,000 and paid a $3,200 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services. Prat also paid $6,500 cash to reduce the liability owed to the...

  • prat corp. started the 2018 accounting period with $36000 of assets (all cash), $1500 liabilities, and...

    prat corp. started the 2018 accounting period with $36000 of assets (all cash), $1500 liabilities, and $11000 of common stock. During the year, the Retained Earnings account increased by $ 13550. The book keeper reported that prat paid cash expenses of $29000 and paid a $2600 cash dividend to the stockholders, but she could not find a record of the amount of cash that prat received for performing services. Prat also paid $9000 cash to reduce the liability owed to...

  • Prat Corp, started the 2018 accounting period with $33,000 of assets (all cash), $13,500 of liabilities,...

    Prat Corp, started the 2018 accounting period with $33,000 of assets (all cash), $13,500 of liabilities, and $8,000 of common stock. During the year, the Retained Earnings account increased by $10,550. The bookkeeper reported that Prat paid cash expenses of $27,500 and paid a $2,300 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services. Prat also paid $6,000 cash to reduce the liability owed to the...

  • Problem 1-34 Interrelationships among financial statements Prat Corp. started the 2018 accounting period with $30,000 of...

    Problem 1-34 Interrelationships among financial statements Prat Corp. started the 2018 accounting period with $30,000 of assets (all cash), $12,000 of liahili and $13.000 of common stock. During the year, the Retained Earnings account increased by $7. The bookkeeper reported that Pratt paid cash expenses of $26.000 and paid a $2.000 cash dividend to the stockholders, but she could not find a record of the amount of cash that Pratt received for pe ing services. Pratt also paid $3,000 acquired...

  • Please answer and I will gladly give a thumbs up! Prat Corp. started the 2018 accounting...

    Please answer and I will gladly give a thumbs up! Prat Corp. started the 2018 accounting period with $33,000 of assets (all cash). $13,500 of liabilities, and $8,000 of common stock. During the year, the Retained Earnings account increased by $10,550. The bookkeeper reported that Prat paid cash expenses of $27,500 and paid a $2,300 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services. Prat also...

  • Please answer and I will gladly give a thumbs up! Prat Corp. started the 2018 accounting...

    Please answer and I will gladly give a thumbs up! Prat Corp. started the 2018 accounting period with $33,000 of assets (all cash). $13,500 of liabilities, and $8,000 of common stock. During the year, the Retained Earnings account increased by $10,550. The bookkeeper reported that Prat paid cash expenses of $27,500 and paid a $2,300 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services. Prat also...

  • Check my work 8. Pratt Corp. started the Year 2 accounting period with total assets of...

    Check my work 8. Pratt Corp. started the Year 2 accounting period with total assets of $30,000 cash $12,000 of liabilities, and $5,000 of retained earnings. During the Year 2 accounting period, the Retained Earnings account increased by $7,550. The bookkeeper reported that Pratt paid cash expenses of $26,000 and paid a $2,000 cash dividend to stockholders, but she could not find a record of the amount of cash revenue that Pratt received for performing services. Pratt also paid $3,000...

  • 0 Required information The following information applies to the questions displayed below. Prat Corp. started the...

    0 Required information The following information applies to the questions displayed below. Prat Corp. started the 2018 accounting period with $32,000 of assets (all cash). $13,000 of liabilities, and $7,000 of common stock. During the year, the Retained Earnings account increased by $9,550. The bookkeeper reported that Prat paid cash expenses of $27,000 and paid a $2,200 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services....

  • 0 Required information The following information applies to the questions displayed below. Prat Corp. started the...

    0 Required information The following information applies to the questions displayed below. Prat Corp. started the 2018 accounting period with $32,000 of assets (all cash). $13,000 of liabilities, and $7,000 of common stock. During the year, the Retained Earnings account increased by $9,550. The bookkeeper reported that Prat paid cash expenses of $27,000 and paid a $2,200 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services....

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT